Randal M. Shaheen

Subscribe to all posts by Randal M. Shaheen

Less to the FTC’s Notice of Penalty Offenses Than Meets the Eye?

The FTC’s Notice of Penalty Offenses concerning endorsements and testimonials is barely a week old and it’s likely already had its intended effect. Hundreds, if not more, of consumer products companies are taking a second or third look at their practices when it comes to endorsements and testimonials and are beefing up their training and … Continue Reading

The Latest FTC Policy Statement Sets Its Sights on Negative Option Marketing

Policy statements are neither rules nor notices of penalty offenses, but when the FTC issues a policy statement discussing an area that has been the subject of a lot of enforcement activity, it warrants serious attention, particularly when the press release discusses ramping up enforcement on “illegal dark patterns that trick or trap consumers.” That’s … Continue Reading

FTC Puts 700+ Companies on Notice to Expect to Pay Penalties for Any Endorsement Violations

By: Linda Goldstein, Amy Mudge, Randy Shaheen, Jack Ferry and Matt Renick The Federal Trade Commission (FTC or Commission) announced on Oct. 13 a widespread enforcement action against deceptive endorsement practices. The Commission sent a Notice of Penalty Offenses to more than 700 companies, notifying them that conduct related to fake or misleading endorsements and … Continue Reading

Slaughterhouse-Five: Myth-Busting with the Commissioner at NAD 2021

By Randal Shaheen and Matthew Renick To kick off the final day of the National Advertising Division’s (NAD) 2021 virtual conference last week, FTC Commissioner Rebecca Slaughter gave a keynote address laying out her views on consumer privacy and the digital data economy writ large. Specifically, Commissioner Slaughter sought to bust five myths about privacy … Continue Reading

NDI Letter Shows CBD’s Position Unchanged at FDA

The 2018 Farm Bill legalized hemp-derived cannabidiol (CBD) at the federal level, but in the nearly three years since then, little has changed from the perspective of the U.S. Food & Drug Administration (FDA). From the start, FDA’s regulatory position has been complicated by CBD’s previous approval as the active ingredient in the prescription drug … Continue Reading

COVID-19 Consumer Protection Act Shows Alternative Path to Monetary Remedies

A recent Federal Trade Commission (FTC) action demonstrates how the FTC has pivoted toward enforcement actions based on specific acts of Congress and rules in light of the Supreme Court’s ruling in AMG Capital. Congress passed the COVID-19 Consumer Protection Act in December 2020, which made deceptive acts or practices involving the treatment, cure, prevention, … Continue Reading

Podcast: AD-ttorneys@law: The Future of Consumer Redress after Supremes Rule in AMG Capital Management v. FTC

In a highly anticipated recent Supreme Court decision in the case of AMG Capital Management v. FTC, the court ruled in favor of putting the brakes on consumer redress and the commission’s ability to protect consumers from unfair or deceptive practices in the marketplace. BakerHostetler partner Randy Shaheen discusses the ramifications. Questions and Comments: rshaheen@bakerlaw.com Listen … Continue Reading

Podcast: AD-ttorneys@law: False Advertising or Just Puffing?

Absolute truth in advertising is something of a rarity, but not every untrue statement is false advertising. In this episode, BakerHostetler partner Randy Shaheen is going to ply you with pointers on avoiding puffery’s promotional pitfalls and potential problems. Questions and Comments: rshaheen@bakerlaw.com Listen to the episode. Subscribe to BakerHosts Apple Podcast | Google Podcast | iHeartRadio | Spotify | Stitcher | TuneIn Download Episode Transcript… Continue Reading

Beware Operation CBDeceit

The Federal Trade Commission (“FTC”) announced on December 17 that it has taken action against six sellers of CBD products.  In case you need a refresher, CBD is a substance found in the cannabis plant that is widely touted for its health benefits.  The 2018 Farm Bill legalized hemp-derived CBD at the federal level, and … Continue Reading

Podcast: AD-ttorneys@law: CBD Marketing: A Path Through the Legal Fog

Being the best means continually building knowledge and pushing forward. And in a world of digital disruption, consumer marketers can’t afford to stumble. To navigate today’s most complex issues, thousands of subscribers read BakerHostetler’s AD-ttorneys@law weekly newsletter and blog and appreciate how the firm’s renowned team of advertising, marketing and digital media lawyers distills issues … Continue Reading

FTC Enforcement: What Is Equitable Relief?

All eyes remain on the Supreme Court and what, if any, changes the Court may make to the Federal Trade Commission’s (FTC’s) authority to seek consumer redress. Will the Court strip the FTC of that authority entirely? The Third Circuit’s recent decision in an antitrust matter suggests so. The circuit court held Section 13(b) of … Continue Reading

Beware of Dark Patterns

Yoda cautioned Luke Skywalker to beware of the Dark Side. In The Golden Compass, we were told to beware of dark materials. For those old enough to remember, the town of Collinsport was told to beware of Barnabas Collins, who lurked in Dark Shadows. And little kids in general are just plain scared of the … Continue Reading

FTC Case Against Rent to Own Company Airs Differences Over Redress, Individual Liability and ROSCA

The Rent to Own industry has been a frequent target of Federal Trade Commission (FTC or Commission) action. While the industry notes that it provides an ownership option for consumers who are unable to pay up front and who may not qualify for traditional credit, critics point to the fact that the final cost of … Continue Reading

Commissioner Wilson Weighs In on FTC Priorities

We have blogged quite a bit about efforts by one or both of the Federal Trade Commission’s (FTC or Commission) Democratic commissioners to push the Commission into a more enforcement-minded posture and to think creatively and expansively about the enforcement tools the Commission has at its disposal. Thus it seems appropriate to give equal time … Continue Reading

FTC Finally Strikes Gold With Made in USA Enforcement: Williams-Sonoma Agrees To Pay $1 Million in Consumer Redress

In the past few months, a minority of the commissioners have called for the Federal Trade Commission (FTC or Commission) to take the heretofore unprecedented step of seeking consumer redress in Made in USA (MUSA) cases. (In the past such cases only involved money when penalties were imposed for violating an existing order).  In a … Continue Reading

The FTC, AI and Algorithms

If you got past the title to this point, congratulations – not sure that we would have. In exchange for your trust, we promise to try to address a complicated and fascinating subject in a relatively clear manner. That’s pretty much what Commissioner Rebecca Slaughter of the Federal Trade Commission (FTC) did in a recent … Continue Reading

Are Made in USA Chickens Worthless? These and Other Deep Questions from the FTC’s Made in USA Workshop

Today the Federal Trade Commission (FTC) hosted a half-day workshop looking at Made in USA claims and the FTC’s guidance and enforcement. For those who want to watch “all or substantially all” of the event, the videos and materials can be accessed here. Some highlights and suggested next steps are below. By way of general background, … Continue Reading

Lead Generation Leads to FTC Settlement

There is nothing particularly new about the idea of lead generation in marketing. Companies have from the very beginning paid their own employees or paid others to help find prospects for their goods and services. However, in today’s digital world and with the myriad different ways in which consumer information is gathered, the use of … Continue Reading
LexBlog